By Nqobile Dludla

JOHANNESBURG, Sept 12 (Reuters) - As e-commerce

continues to grow in South Africa, last-mile delivery trucks and

vans are increasingly becoming prime targets of hijacking

syndicates, driving up security costs for these companies,

executives said on Thursday.

New international entrants to the market like U.S.

e-commerce giant Amazon.com ( AMZN ) and fast-fashion online

retailers Shein and Temu have also intensified the competition

for a greater share of online wallets.

Logistics trucks transporting goods in bulk and parcel

delivery vans are "spending an absolute fortune on security",

including costs for hiring security to escorts these vehicles on

the road, Craig Pitchers, CEO of privately-owned The Courier Guy

said at an e-commerce conference in Johannesburg, adding that

these "kill our margins".

This is in addition to the cost of fuel, which has soared

since the pandemic.

These vehicles are targets because they often carry valuable

goods.

There are about 20-25 hijacks a day of delivery trucks and

vans, Diederick Stopforth, Commercial Executive at SkyNet

Worldwide Express added.

Delivery companies are now forced to move high value

products in cash-in-transit vehicles, Stopforth said. But even

those have increasingly become targets, with regular bombings of

these vehicles and shoot-outs on the highway.

South Africa has seen a sharp rise in online shopping after

the pandemic created an opportunity for e-commerce to finally

take hold, with retailers and businesses doubling down on

investments in response.

South Africa's online retail sector grew 29% to 71 billion

rand ($4 billion) in 2023, commanding a 6% share of total retail

sales. This share is seen growing to 10% by 2026, a study by

World Wide Worx showed.

All of this has brought more delivery trucks, vans and

motor-bikes on the road, with criminals taking note.

Police have established and beefed up cash-in-transit task

teams as well as increasing visibility on the roads to deal with

hijacks of these vehicles.

($1 = 17.9111 rand)